False – excise tax is also imposed on luxurious goods and mineral products.. False – excise tax imposed to vehicles is based on the value of the vehicles, hence, an example of advalorem
Trang 1CHAPTER 12
EXCISE TAXES
Problem 12 – 1
1 False – excise tax is also imposed on luxurious goods and mineral products
2 False – excise tax imposed to vehicles is based on the value of the vehicles, hence, an example of advalorem tax
3 True
4 False – The primary purpose of excise tax is for regulation and protection
5 True
6 False – P1 per kilo
7 False – 20% of the wholesale price
8 True – It is the same as distilled spirits
9 False – Excise tax is a business tax
10 False – Excise tax is an indirect tax
11 True
12 False – P10 per ton means based on measure, hence, specific excise tax
13 False – subject to excise tax of P0.79 per kilo
Problem 12 – 2
1 True
2 False – Excise tax is also imposed on imported goods
3 False – Excise tax is paid upon transfer or release from the Bureau of Customs
4 True
5 False – net retail price or retail price basically excludes VAT and excise tax
6 False – LPG is a separate and distinct product from processed gas
7 True
8 False – Alcohol products for medicinal purposes are exempt from excise tax
9 False – The excise taxes imposed on imported articles are paid to the Bureau of Customs
10 False – Subject to excise tax upon production or importation
11 True
12 True
Problem 12 – 3
Divided by net retail price per cigar 600
Multiplied by excise tax on cigar sold at P600 each [P50 + (15% x
100)]
65
Problem 12 – 5
1 Not in the choices
Total sales excluding VAT (P159,500/1.12) P142,411 Divided by net retail price per liter 14.50
Trang 2Number of liters produced 9,821 Multiplied by applicable excise tax per liter P 12.30
2 Not in the choices
Total amount of sales including VAT and excise tax P280,298
Tax-exempt
Problem 12 – 8 A
Multiplied by proof liters (200 x 12 x 750/1,000) 1,800
Problem 12 – 9 B
Problem 12 – 10 A
Exempt from excise tax, hence, P 0.
Problem 12 – 11 B
Problem 12 – 12 A
None
Problem 12 – 13 B
Excise tax on:
Less: Creditable excise tax on bunker oils 6,000
Problem 12 – 14 A
Zero
Problem 12 – 15
Trang 3Multiplied by metric tons of coal produced 1,000
Problem 12 – 16
Excise taxes:
For year 2005 and 2006: (100 x 50 x 10 x P25) P1,250,000 For year 2007 and 2008: (100 x 50 x 10 x P26.06) P1,303,000 For year 2009 and 2010: (100 x 50 x 10 x P27.16) P1,358,000
Problem 12 – 17
Excise tax:
P3,128,850
Problem 12 – 18
Problem 12 – 19
Problem 12 – 20
Problem 12 – 21
Total kilograms of copper (1,000 tons x 25% x 1,000 kg.)
Multiply by world price per kilogram
Total in US dollars
Multiply by exchange rate of peso per dollar
Total
Multiply by excise tax rate
Excise tax
250,000 $0.60
$ 150,000 P50
P 7,500,000 2%
P 150,000
Trang 4Problem 12 – 22
Gold Copper Total Quantity (tons of concentrate) 100 100
Multiplied by kilogram per ton 1,000 1,000
Total kilogram 100,000 100,000
Multiplied by gram per kilogram 1,000 1,000
Total grams 100,000,000 100,000,000
Multiplied by percent of metal content 0.02% 3.00%
Actual grams of metals 20,000 3,000,000
Multiplied by market price per gram $ 8 $0.01
Total in dollars $160,000 $30,000
Multiplied by peso rate per dollar P60 P60
Totals in pesos P9,600,000 P1,800,000
Multiplied by applicable excise tax rate 2% 1%
Excise tax P192,000 P18,000 P210,000